Ray of Hope Or Pie in the Sky?
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SUSTAINABLE RESPONSIBLE BUSINESS DECEMBER 2016 Ray of hope or pie in the sky? Higher & Further Education Special in association with TUCO Food industry divided over government’s new obesity plan Scroll up for information on how to use the app h footprint.digital Welcome to Footprint. Here are a few tips on using the app Tap screen Swipe left to to reveal right to view all additional additional articles navigation options Scroll up and down Expand to read further and pinch through an article to zoom in and out foot- print.digital K footprint.digital K Contents Leader: Responsible firms must weather tough political times Editor’s review: Shots fired but who is sticking up for foodservice? Analysis: Fair point? FDF turns on foodservice at obesity summit Sector soapbox: Bidvest bites back at FDF Analysis: Can Conservatives really clamp down on corporates? Briefing: New acrylamide regulation is a hot potato Behind the headlines: Gig economy creates a sustainability headache Political Print: Trump isn’t tops when it comes to food policy Comment: Why antibiotic resistance is a pressing issue Insight: Definition of ‘no deforestation’ is a defining moment Sustainable diets: Carbon labels versus carbon taxes Footprint Forum: Obesity plan is the sector’s flexible friend Feature: Annual Review - A look back at a rollercoaster year Supply chain: How to justify cost rises to customers Reporting: Decoupling emissions from revenue is possible and pays Final thought: Think like a criminal to beat food fraud footprint.digital K Leader Weathering the storm Political turmoil on both sides of the Atlantic means responsible businesses may have to go it alone. ovember was a month of extremes for those engaged in climate change. It started on a high when the Paris Agreement entered into Nforce on November 4th (remarkably quickly given that the deal was agreed less than a year ago). But that tide of optimism turned on November 9th as Donald Trump blustered his way to victory in the US presidential elections. The US is the world’s second largest emitter of greenhouse gases. “The Donald” is the man who promised to “cancel” the agreement to cut emissions. Putting two and two together, that seems like a hopeless combination for cutting emissions enough to keep global warming under 2°C. “Unless Donald Trump was lying about his proposed climate policies, we are on course for more than 3°C warming,” noted New Scientist in a recent analysis. Even the apparent softening of his stance – from one of fierce scepticism (global warming is a hoax “created by and for the Chinese in order to make US manufacturing non-competitive”) to an “open mind” over his country’s involvement in the accord – has been laughed off in some quarters as the media trying to force a wedge between Trump and his support base. Only a fool would deny that a sustainable future looks a lot further away than it did a month ago – especially if the president-elect digs his heels in. And consider this: by the time of the next US election in 2020 the world will already have emitted enough CO2 to warm the planet by 1.5°C – the limit that the Paris Agreement says the world should ideally keep to. So Trump may be a spanner in the works but the wheels are already in danger of coming off. Look a little further ahead and the storm clouds darken further. The United Nations Environment Programme recently reported that the pledges in the Paris Agreement are nowhere near enough. “The predicted 2030 emissions will, even if the Paris pledges are fully implemented, place the world on track for a temperature rise of 2.9°C to 3.4°C this century,” it noted. Hang around any longer before raising the ambitions bar and we would “likely lose the chance to meet the 1.5°C target, increase carbon-intensive technology lock-in and raise the cost of a global transition to low emissions”. It isn’t only Trump (and the Daily Mail) that fails to understand the extent of the risks and scale of the challenge, either. In November, the Commons environmental audit committee also published the findings of its inquiry into sustainability and the Treasury. The conclusion was damning: “We heard multiple examples of where the Treasury has ridden roughshod over other departments’ objectives, changing and cancelling long-established environmental policies and projects at short notice with little or no consultation with relevant businesses and industries,” the MPs noted. They said the ministry “puts short-term priorities over long-term sustainability – potentially increasing costs to the economy in the future, and harming investor confidence”. That the chancellor, Philip Hammond, failed to mention climate change in his first budget in what is likely to be the hottest year on record gives little reason for seasonal cheer. The UK, EU, US and the world are in a state of political flux that threatens (among other things) to burn the foundations of a global green economy almost as soon as they’ve been laid. But with every new year comes renewed optimism and the question arises: should the private sector simply ignore policymakers and go it alone on climate change, slashing emissions, investing in renewable energy and even pushing more sustainable diets? That’s a “no-brainer”, according to Alice Stollmeyer, an influential climate and energy policy expert based in Brussels. “Reality will trump Trump,” she wrote on her blog. “Even from a strictly economic viewpoint, the US and global shift towards more resource efficiency and renewables energy is a no-brainer.” The shift isn’t swift but evidence to support the benefits of more sustainable business is snowballing. As Frances Way from the Carbon Disclosure Project highlights later in this issue, some firms are already showing that decoupling emissions from revenue isn’t just possible: it actually pays. J Sainsbury, for instance, achieved revenue growth of 18% over five years alongside a 22% fall in emissions. These companies unfortunately remain the exception rather than the rule. Much like the environmental audit committee discovered when digging around at the Treasury, CDP found that “overall company targets were short-term and lack ambition: if every company achieved its current climate goals, it would still only take the group one quarter of the way to a 2°C pathway”, Way notes. Trump is hard to ignore and his presence in the White House for at least the next four years is a dangerous distraction (and not just in relation to climate change policies). However, environmentally minded, socially aware and ethically run businesses will be here long after that. footprint.digital K Editor’s Review Spider-Man’s power and sticking up for foodservice GD has forecast that the food-to-go market is set to rocket in the next five years. Sales will hit £21.7 billion by 2021, compared with a meagre £16.1 Ibillion this year. There will be more options at supermarkets and garage forecourts, the analysts predicted, as well as an expansion in “specialist” outlets and of course coffee shops. Good news: power to foodservice. But as Spider-Man and others have noted, with such power comes great responsibility. Having read the Childhood Obesity Plan again over the past few weeks it’s become increasingly clear to me that this government is happy to lay the weight of the challenge on industry’s shoulders. And thanks to Channel 4’s “Dispatches”, we now know that Theresa May dismantled her predecessor’s more ambitious plan leaving what is, to all intents and purposes, a Responsibility Deal Take 2 (RDT2). I for one am not a fan of sequels. The new prime minister appears to have followed Michael Gove’s infamous advice on experts, completely ignoring the likes of Public Health England and McKinsey in relation to what a successful approach to tackling obesity might look like. That’s just foolish. My reservations appear to put me at odds with those in foodservice – at least judging from the initial reactions in October’s Footprint Forum. The industry- led, regulation-light plan offers flexibility, so the argument goes. The cynic in me says it offers a pass to do nothing, especially among the smaller players in the market. The optimist says this is the last chance saloon so industry has to make it work. If this RDT2 fails, a voluntary approach in take 3 will be hard to justify – even in 2020, should there be a new government. Action needs to be swift. The inclusion of the levy on sugar-sweetened drinks in the finance bill in November just six weeks or so after the consultation had been completed suggests the wind is in the sails of that particular policy. The plan is all a bit ‘Shoulda, woulda, coulda’ as Beverley Knight once sang – and my bet is many in foodservice will be left wondering ‘what they’re gonna do’ The sugar tax is, however, the lone stick in a strategy littered with carrots. This could leave many scrabbling around the dark for solutions. Read the paper and it’s all a bit “Shoulda, woulda, coulda”, as Beverley Knight once sang – and my bet is that it’ll be those in foodservice left wondering “what they’re gonna do”. Why? For a start the sector is more diverse than its manufacturing or retail cousins but – and perhaps more critically – there is little to no leadership on this issue. “The dog that has not barked properly in the whole obesity debate,” is Ian Wright’s (very public) impression of the foodservice sector. The Food and Drink Federation director general’s dogmatic defence of manufacturers can become tiresome, but he certainly sticks up for his members (though not all of them, according to a survey published this week by the Children’s Food Campaign).